Setting up a Limited Company in the UK

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So last week I registered a Limited Company in the UK and it turned out to be really easy. I had always assumed it would be more complex…with no real factual basis for this assumption other than a vague suspicion that it would probably involve an accountant, and would therefore be expensive and time-consuming. I was wrong. Here’s what I did:

Note: I am not an accountant or lawyer! Please do not interpret the following as anything other than my own opinions and experience.

I used one of the readily available online services: Rapid Formations. I chose them because their website looked better than those of their competitors (you may think that’s an absurd way to choose, but the more work I do in the digital space, the more often I’m seeing that companies with great websites and apps also tend to be better in other regards too).

I selected their mid-range ‘Print’ package. This took me through a series of 5 different screens, filling out my information, details about other directors, the address where the company was to be registered, share distribution, plus plenty of chances to include add-ons like a checking service for your application. It was very self-explanatory. A child could have done it.

This particular company will also take the initial step of opening a business bank account for you if you wish, but to be clear, you do not need a business bank account to register a company.

As I mentioned, I got one of the mid-range packages, and this got me electronic and snail-mail copies of:

Certificate of Registration with Companies House

Share Certificates

First Board Meeting Minutes for Submission

Memorandum and Articles of Association (i.e. the fine print about what the rules are)

Total time spent: About 2 hours – would have been quicker if I didn’t have to phone up my other Director to get a few personal details.

Total Cost: Just under £40.

Obviously things will be more complex if you’re starting a business which will require professional indemnity insurance, but I’m not. Also, be advised that setting up a company incurs the responsibility to file the relevant board minutes/tax returns, which are beyond the scope of this post.